Rwanda legal and accounting and tax considerations in 2024

legal obligations for Rwanda companies

  1. The general corporate income tax rate in Rwanda is 30% and companies are required to file tax returns within 3 months after the end of the fiscal year;
  2. Value Added Tax (VAT) is levied at a standard rate of 18% on consumable good and services;
  3. Companies can carry forward business losses for the subsequent 5 fiscal years, however a carry-back is not permitted;
  4. Withholding tax is imposed on dividends payable to both resident and non-resident entities at a standard rate of 15%, unless reduced by a tax Treaty;
  5. All companies in Rwanda are subject to a withholding tax on interests and royalties at a flat rate of 15%, unless reduced by a tax treaty;
  6. Capital gains arising from the transfer of commercial real estate are taxed at a rate of 30%. Transfer of others assets are only subject to the standard corporate tax rate of 30%;
  7. All employers must contribute 3% of their employee’s gross salary to the Rwanda social security fund;
  8. Rwanda companies are subject to a 5% withholding tax on imports of goods and services for commercial usage;
  9. A 5% tax discount is applicable to companies engaged in exports if the company exports goods and services bringing more than US$5 million in tax benefits in a fiscal year;
  10. Rwanda has concluded double tax avoidance treaties with Belgium, South Africa (not ratified yet);
  11. Healy Consultants will assist the Client with i) documenting and implementing accounting procedures ii) implementing financial accounting software iii) preparing financial accounting records and iv) preparing forecasts, budgets and performing sensitivity analysis;
  12. It is important our Clients’ are aware of their personal and corporate tax obligations in their country of residence and domicile; and they will fulfill those obligations annually. Let us know if you need Healy Consultants’ help to clarify your annual reporting obligations.

Contact us

For additional information on our accounting and legal services in Rwanda, please contact our in-house country expert, Mr. Kunal Fabiani, directly:
client relationship officer - Kunal
unicef Rwanda psf Rwanda Rwanda government website bnr Rwanda rwanda chamber of commerce rdb Rwanda